PLASTIC CREDITS
Regarding regulations coming into effect in 2025:
- European Union (EU): The EU's Circular Economy Action Plan aims to increase the use of recycled plastics and is implementing policies that will require manufacturers to include a certain percentage of recycled content in plastic products. This will encourage the use of recycled oil from chemical recycling processes. cefic.org europa.eu
- Advanced Recycling Recognition: There's a growing movement to recognize advanced recycling (including chemical recycling) as a legitimate form of recycling in regulatory frameworks. This recognition will allow plastic manufacturers to count recycled oil toward recycled content targets, providing an incentive to use it in new plastic production. cefic.org europa.eu
- National Policies: Countries like the United Kingdom and Japan are exploring regulations that promote chemical recycling. These may include tax incentives, grants, or even mandates for using recycled feedstocks in plastic manufacturing. europa.eu plasticseurope.org
- Corporate Commitments: Many global brands have pledged to increase the recycled content in their plastic packaging by 2025. This industry shift is driving demand for recycled oil as manufacturers seek sustainable feedstocks to meet these commitments. cefic.org europa.eu
- Technology Standards: Organizations are developing certification systems to verify the recycled content from chemical recycling processes. Standards like the ISCC PLUS certification (view Corsair's certificate) allow companies to track and prove the use of recycled materials, including recycled oil, in their products. cefic.org europa.eu